Lok'nStore posts 'solid' first half

Josh White Sharecast | 13 Feb, 2017 12:37 | | |

  • 437.50
  • 1.74%7.50
  • Max: 445.00
  • Min: 428.69
  • Volume: 10,676
  • MM 200 : n/a
17:17 28/04/17
  • 963.72
  • 0.20%1.88
  • Max: 964.37
  • Min: 961.35
  • Volume: 0
  • MM 200 : n/a
17:20 28/04/17
  • 2,749.36
  • -0.71%-19.56
  • Max: 2,768.92
  • Min: 2,739.50
  • Volume: 0
  • MM 200 : n/a
17:20 28/04/17

Self-storage company Lok'nStore provided an update on its trading in the first half of the financial year to 31 January on Monday.

The AIM-traded firm said, building on the positive momentum of FY2016, trading in the first half of FY2017 remained solid.

In its core self-storage business the first half revenue was up 3.9% year-on-year, and at 31 January 2017, self-storage unit occupancy was up 4.6% and price per let square foot was unchanged compared to the same date 12 months prior.

In the serviced document storage business, revenue grew by 8.8% against the same period last year, while the number of boxes stored increased by 8% and the number of tapes increased by 27% over the twelve months to the end of January.

In November, in response to demand for the company's shares and to improve liquidity the company sold 1,975,000 shares from treasury, raising £7.9m to further strengthen the balance sheet.

In January, Lok’nStore signed a two year extension to its existing £40m bank facility.

The facility, which was due to expire in January 2021, would now run for the next six years until January 2023 providing funding for more landmark site acquisitions and working capital.

Lok’nStore said it was continuing its new store opening programme and had commenced development on all four of the new sites acquired in the last financial year.

It said interim results will be announced on 24 April.

“We have built on the solid turnover and profits growth of last year in the first half of our financial year 2017 with a 3.9 % growth in revenue in our core self-storage business,” said CEO Andrew Jacobs.

“We are now on site in all four of our pipeline stores in Broadstairs, Gillingham, Hemel Hempstead and Wellingborough.

“All four should be open by the end of our 2017 financial year and will provide added impetus to sales and earnings growth.”

Jacobs said the recently-announced two year extension on the company’s existing banking facility with its “extremely competitive” terms and flexible structure further highlighted the financial strength of Lok'nStore.

“With our modest gearing, valuable property assets and strong and growing cash flow the Group will continue to execute its current successful growth strategy.”

More news

28 Apr S&P reaffirms AA rating on UK, outlook clouded by Brexit

Standard&Poor's reaffirmed its rating on the United Kingdom's long-term sovereign debt but warned of the potential impact on the economy from the uncertainty around the Brexit negotiations and their eventual outcome.

28 Apr FX round-up: Sterling nonchalant after UK Q1 growth disappoints

Sterling made steady gains on most key cross on Friday, appearing nonchalant in its reaction to disappointing UK economic growth data out mid-morning.

28 Apr Europe close: Weak US, UK GDP weigh on shareson the continent

European stocks ended the day on a mixed note after weak readings on UK and US GDP dragged many indices into the red at the end of the month.

28 Apr Laird off to solid start, but second half remains key

Electronic component maker Laird reported strong sales growth in the first quarter of 2017 after a difficult year.

28 Apr General Motors truck and SUV sales drive record earnings

Growth at General Motors accelerated past analyst forecasts with a record first-quarter set of earnings.

28 Apr RBS and Lloyds Bank customers hit by online glitch on payday

Royal Bank of Scotland and Lloyds Banking Group customers were prevented from accessing money in their accounts due to a technical glitch ahead of the bank holiday weekend.

28 Apr Kennedy Wilson confirms quarterly dividend, new office leases

Kennedy Wilson Europe Real Estate announced it will pay an interim quarterly dividend of 12.0p per share, while also reporting strong leasing momentum across key investments in Greater London and Dublin.

28 Apr Time spins backwards on decision not to sell business

Time Inc stock reversed recent gains after the board decided not to sell the publishing business as it was being "reinvigorated" under a new strategy.

28 Apr Morgan Stanley downgrades Berendsen on competition concerns

Berendsen not only needs to invest in property, plant and equipment but is facing increasing competition in the UK, warned Morgan Stanley as it downgraded the stock on Friday.

28 Apr UK mortgages and consumer credit card borrowing both decline - BBA

Mortgage approvals and consumer credit card lending both fell in March according to fresh data from the banking industry, providing the reason for the fall in house prices announced elsewhere on Friday.